Implementing
Tier 3 Standards Would Generate More Than 24,000 Jobs Over Three Years While
Protecting the Public from Hazardous Pollutants

Washington,
D.C.
– U.S. Senator Kirsten Gillibrand, a member of the Environment and Public Works
Committee, today urged the Obama Administration to implement a third tier of
emission reduction standards that would increase vehicular fuel
efficiency. The President initially instructed the Environmental
Protection Agency (EPA) to move forward with a new proposal in 2010 as part of
proposed vehicle efficiency standards, but the rules have yet to be formally
proposed. Joined by twelve of her Senate Colleges, Senator Gillibrand
called on the Administration to take an important step to
improve human health and stimulate job creation by promptly adopting Tier 3
emission and fuel standards.

“The
implementation of Tier 3 emission standards would be valuable to Americans,”
said Senator Gillibrand. “More stringent emission standards would significantly
decrease air pollution, create jobs and increase worker’s economic productivity
by reducing the number of sick days they take from lung and heart related
ailments.”

The
first and second tier emission reduction standards were implemented in the
early 1990’s and the early and mid-2000’s, respectively. However,
chemicals released from cars and other light-duty vehicles directly contribute
to high levels of smog, which can trigger asthma attacks and adversely affects
those with heart and lung diseases. The implementation of a new Tier 3 emission
standard is expected to result in a 29 percent decrease in nitrogen oxide
emissions, a 38 percent decrease in carbon monoxide emissions and a 26 percent
decrease in volatile organic compound emissions. According to the National
Association of Clean Air Agencies (NACAA), reducing the emissions of these
harmful chemicals would prevent 400 premature deaths and 52,000 lost workdays
due to illness each year.

The
requirements for the new Tier 3 standards have not been formally proposed,
however, it is expected that the rules would rely on installing advanced
catalytic convertors in new vehicles to eliminate pollution and reducing the
sulfur content of gasoline. Reducing sulfur in gasoline would increase
the effectiveness of the catalytic convertors. Additionally, older
vehicles that do not have the technology for the converters would still benefit
because their engines would produce less hazardous byproducts from the reduced
sulfur in gasoline. The new technology would add less than $150 to the price
of a new vehicle, and would have practically no effect on the cost of
gasoline. Additionally, a study by Navigant Economics concluded that
installing the catalytic converters would generate 24,500 jobs over three years
and that the value of the health benefits from reduced emissions would equal
$5-6 billion annually by 2020 and $10-11 billion annually by 2030.

A
recent study by the National Association of Clean Air Agencies asserted that
the catalytic converters and decreased amount of sulfur in gasoline would be
the most cost-efficient method for reducing these types of emissions.

We are writing to strongly urge you to take an
important step to improve human health and stimulate job creation by proposing
the so-called Tier 3 emission and fuel standards in 2012 and adopting them
promptly thereafter.

The health benefits associated with the Tier 3
proposal are well established. Tier 3 will substantially reduce harmful
pollutants that are responsible for health related ailments such as heart
attacks, premature death, asthma attacks and other chronic lung diseases.
A recent study by Navigant Economics stated that these health benefits have an
estimated value of $5-$6 billion annually by 2020 and $10-$11 billion annually
by 2030.

In addition to these health benefits, Tier 3 will also
result in significant economic benefits. Navigant’s study estimated that
Tier 3 will create over 24,000 new jobs over three years for equipment
installation at the nation’s refineries. Another 5,300 jobs will be
created by the operation and maintenance of this new equipment. These
jobs will be the direct outcome of refining industry investments in new plants
and equipment to reduce the sulfur content of gasoline and to make American
refineries more competitive.

Furthermore, a study sponsored by the oil industry has
concluded that Tier 3 will not result in refinery closures. As no
refineries are expected to close because of Tier 3, its adoption will not cost
jobs. On the contrary, it will create jobs.

Implementation of Tier 3 will also capture the
economic benefit associated with harmonized emission standards and a uniform
low sulfur fuel standard nationwide. As a national program, Tier 3 will
enable auto makers and their suppliers to manufacture to scale and minimize the
cost of emissions reduction equipment installed in new vehicles.

Another important benefit of Tier 3 is that it will
yield the most cost effective means for the states to achieve cleaner,
healthier air and meet their National Ambient Air Quality Standards (“NAAQS”)
attainment goals as required under the Clean Air Act. This is why the
Bush Administration assumed the timely implementation of Tier 3 when it set the
ozone NAAQS in 2008. According to a study by the National Association of
Clean Air Agencies (“NACAA”), 10-ppm sulfur gasoline will result in a reduction
of over 260,000 tons of NOx emissions overnight. We know of no other
single strategy for NOx that will achieve as significant, timely, and cost
effective emissions reductions.

Opponents of Tier 3 have claimed that the regulation
will result in increased gas prices at the pump. Stated simply,
Navigant’s study defies this claim. The study showed that reducing the
sulfur content of gasoline under Tier 3 will increase the cost of refining by
only one cent per gallon. The study also proved that this cost increase
to refiners will not be passed on to consumers in the form of higher gas
prices.

In closing, it is clear that the numerous health and
economic benefits of Tier 3 far outweigh any costs to refineries in making the
investment to reduce sulfur. We hope that in light of these compelling
considerations, you will move forward with proposing Tier 3.

As you may be aware, Senator Gillibrand and 12 of her Senate
colleagues are sending a letter today to the US EPA, urging the agency to move
swiftly on the so-called Tier 3 low-sulfur gasoline standards – the most
effective smog-fighting tool available – one that would immediately make every
car on the road pollute less.

Positive reactions are already coming in
from members of the broad and diverse coalition supporting this critical
clean-fuel initiative. Please note some sample reactions, below.

**

REACTIONS:

From Bill Becker, executive director of the National
Association of Clean Air Agencies:

“There
is not another air pollution control strategy that we can think of that offers
as substantial, expeditious and cheap emissions reductions as Tier 3. This
program will reduce 240,000 tons of NOx emissions overnight for less than a
penny a gallon.”

Washington,
DC, November 29, 2012 – Tim Regan, the President of the Emissions Control
Technology Association, applauds Senator Gillibrand and her colleagues for
taking a stand on Tier 3. Regan said, “The emissions control industry
congratulates Senator Gillibrand and her colleagues, Senators Blumenthal,
Brown, Cardin, Durbin, Lautenberg, Kerry, Lieberman, Menendez, Merkle, Murray,
Schumer, and Whitehouse, for strongly urging the Administration to move forward
with great haste to propose and adopt Tier 3.” He highlighted the
importance of Tier 3 to the industry, stating that, “The industry needs
certainty associated with this rule to launch the technology development
process needed to manufacture products to meet the new standards for model year
2017. If the rule slips any further, it will delay the implementation of
a nationwide standard for a year. This will diminish the job creation and
clear air benefits associated with Tier 3. Americans are clamoring for
jobs and improved air quality. The time to act is now.”

**

From Michelle Robinson,
Director of the Clean Vehicle Program at the Union of Concerned Scientists

“The
administration took a bold step toward delivering a cleaner car for the
American driver when it finalized new fuel efficiency and global warming pollution
standards for passenger vehicles, but there is more to do. We applaud Senator Gillibrand and her colleagues for urging the
administration to take the next step to limit tailpipe emissions and reduce the
sulfur content of gasoline. With this standard, our vehicles and the air
we breathe will be cleaner, and our public health will be the better for it.”

Tuesday, November 13, 2012

This afternoon, the Republican leaders of the House of Representatives withdrew -- for now -- legislation to bail out the makers of the banned CFC-producing Primatene Mist inhalers. Politico reported:

House Republicans have for now pulled a bill directing the EPA to allow
Amphastar Pharmaceuticals to sell leftover stocks of the asthma inhaler
Primatene Mist, which was banned at the end of last year because of an
international pact on products containing chlorofluorocarbons. The bill,
initially set for a House vote Monday, will be rescheduled after Thanksgiving,
a spokesman for House Majority Leader Eric Cantor emailed. “We have a
scheduling issue,” the spokesman said.

The irony here is that an ozone-destroying chemical may come
back on the market courtesy a former Democratic Congressman-turned lobbyist –
Bart Stupak. One of Stupak’s clients is Amphastar
Pharmaceuticals, the maker of Primatene Mist http://disclosures.house.gov/ld/pdfform.aspx?id=300462734Amphastar and its Armstrong Pharmaceuticals
has engaged in a lobbying campaign to bring back the banned inhalers, more than
a million of which are sitting in a warehouse in California. http://www.primatene.com/bringback.asp

The House Energy and Commerce Committee – Stupak was long a member
of that panel, and like chairman Fred Upton, hails from Michigan -- approved
the special-interest legislation September 14.It is listed as the first order of business tomorrow on the House weekly
schedule.See below.

Who We Are

Clean Air Watch is a national non-profit, non-partisan organization devoted
to protecting Clean Air Laws and polices throughout the
United States. We closely monitor clean air and climate policy and seek to present a public-interest perspective grounded in fact and analysis.